1. Prepare an income statement based on the absorption colting concept. 1. Prepare an income statement based on the absorption costing concept. 2. Prepare an income statement based on the variable costh. concept. 2. Prepare an income statement based on the variable costing concept. 3. Explain the reason for the difference in the amovnt of income from operations reported in (1) and (2). The income from operations reported under costing exceeds the income from operations reported under costing by the difference between the two, due to manufacturing costs that are deferred to a future month under costing